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Adapting to a changing climate

Adapting to a changing climate. John Drexhage, Director, ICMM June 2013 , London Inaugural Institute of Materials, Minerals & Mining Fellows Breakfast Club. Outline. A changing climate in context Emerging drivers for adaptation

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Adapting to a changing climate

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  1. Adapting to a changing climate John Drexhage, Director, ICMM June 2013, London Inaugural Institute of Materials, Minerals & Mining Fellows Breakfast Club www.icmm.com

  2. Outline • A changing climate in context • Emerging drivers for adaptation • Implications of a changing climate on the mining and metals sector • Adapting to a changing climate www.icmm.com

  3. A changing climate in context – climate change and sustainable development www.icmm.com

  4. A changing climate in context – a changing climate and the mining and metals sector Relies on large, fixed assets with long design lifetimes Requires climate-sensitive inputs: water, energy, land, people Dependent on global supply chains Operates in challenging geographies and climates www.icmm.com

  5. A changing climate in context – what is mining’s contribution to land and water use? Land use (Australia) [1] Consumptive water use [2,3,4,5] www.icmm.com

  6. Emerging drivers for adaptation www.icmm.com

  7. Implications of climate change for the mining and metals sector Climate-sensitive inputs: Water, energy, people Supply chains: transport routes, infrastructure, access to markets Markets: demand for goods and services, competition Exploration & construction: access to new reserves, site design, building codes, minesite water balance Operations: equip. performance and operating thresholds, workforce health and safety, stability of impoundments, disruptions Closure & post-closure: Long term environmental monitoring, rehabilitation Source: [6] www.icmm.com

  8. Implications of climate change – a framework for evaluating risks www.icmm.com

  9. Implications of climate change –arid or water-stressed environments • Risk of: • Insufficient water supply for operations • Reduced availability and reliability of electricity • Challenges in post-closure rehabilitation and water quality management Sources: [11,12] www.icmm.com

  10. Implications of climate change –arid or water-stressed environments • Quillagua and Copiapó in Antofagasta and Atacama, northern Chile; • Mining operations face risks from increased conflict over water rights, regulatory changes; • Responding by sourcing raw seawater, increasing reuse & recycling, engagement with stakeholders. Source: [11] www.icmm.com

  11. Implications of climate change –tropical climates • Workforce impacts from heat stress and more frequent periods of extreme heat; • Changes in the spread of vector-borne diseases; • Indirect impacts from low level of resilience in vulnerable communities; • Impacts on biodiversity, species extinction. Source: [18] www.icmm.com

  12. Implications of climate change –tropical climates • Boane, Mozambique • High infection rates (~85%), health impacts to workforce and local community • Malaria control programs dropped infection rates to below 20% • Motivated by workforce and community safety • Have increased resilience to malaria within the region Sources: [15,16, 17] www.icmm.com

  13. Implications of climate change – coastal areas and regions likely to become wetter Sources: [13,14] • Potential for: • Coastal flood damage; • Changes in minesite water balance; • Changes in timing or flow of receiving bodies. • Impacts on: • Capacity to handle heavy rainfall & flooding; • Stability of open pit highwalls, tailing storage ponds, embankments; • Long-term water quality. www.icmm.com

  14. Implications of climate change – coastal areas and regions likely to become wetter • Minto Mine, Central Yukon • In 2008, 2009: “two 100-year water events in a row” • Shut down extraction, emergency releases to Yukon River • $2.5M water treatment plant, upgrades to diversion channels Credit: Capstone Mining Corp. http://capstonemining.com/s/Gallery_Minto.asp • Queensland, Australia • Heavy flooding in 2010, 2011 • 3- to 6-week rail closures • 12-week disruption on West Moreton Line Credit: Oprel 2010. http://www.oprel.co/gallery/queensland-flood-damage/8373137 www.icmm.com

  15. Adapting to a changing climate – a framework for adaptation Adapted from [7,8,9,10,11] www.icmm.com

  16. Adapting to a changing climate – what is being done www.icmm.com

  17. Adapting to a changing climate – what is being done Credit: Vale, BHP Billiton www.icmm.com

  18. Conclusions • The mining and metals industry is exposed to climate risks. • It is also very experienced at managing risk. • Mining companies are already taking action on adaptation. • Strategies must further incorporate climate change into existing risk management and planning activities. www.icmm.com

  19. Conclusions (2) • External expectations for climate risk management are changing. • Specifically, the demand for anticipating and reporting on risks is increasing. • Adaptation offers opportunities to engage on broader, complementary sustainable development benefits. www.icmm.com

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